DoD awards $3.6M administrative services contract to Tatitlek Federal Services LLC for 5 years

Contract Overview

Contract Amount: $3,622,205 ($3.6M)

Contractor: Tatitlek Federal Services LLC

Awarding Agency: Department of Defense

Start Date: 2023-09-01

End Date: 2028-08-31

Contract Duration: 1,826 days

Daily Burn Rate: $2.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: PROVIDES ADMIN SERVICES TO CODE 50

Place of Performance

Location: PHILADELPHIA, PHILADELPHIA County, PENNSYLVANIA, 19112

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $3.6 million to TATITLEK FEDERAL SERVICES LLC for work described as: PROVIDES ADMIN SERVICES TO CODE 50 Key points: 1. Contract provides essential administrative support services, indicating a need for specialized management expertise. 2. The 'Administrative Management and General Management Consulting Services' NAICS code suggests a focus on operational efficiency and strategic planning. 3. A 5-year duration points to a long-term requirement for these services, implying stability in the contractor's role. 4. The contract type, Cost Plus Fixed Fee, allows for flexibility but requires careful oversight to manage costs. 5. The award to a single entity suggests either a specialized capability or a limited competitive landscape for this specific requirement. 6. Geographic location in Pennsylvania may indicate a concentration of administrative functions or a specific operational hub for the Navy.

Value Assessment

Rating: fair

The contract value of $3.6 million over five years averages to $720,000 annually. Without specific deliverables or performance metrics, a direct value-for-money assessment is challenging. However, the Cost Plus Fixed Fee structure necessitates close monitoring of actual costs against the fixed fee to ensure reasonable pricing. Benchmarking against similar administrative support contracts would provide a clearer picture of whether this pricing is competitive for the scope of services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when a specific contractor possesses unique capabilities, or when circumstances necessitate an immediate award without a full solicitation process. The lack of competition means that price discovery through market forces was not leveraged, potentially leading to higher costs than if multiple bids were considered.

Taxpayer Impact: For taxpayers, a sole-source award means there was no opportunity to benefit from competitive bidding, which could have driven down the price. This necessitates a higher degree of scrutiny on the awarded price and the contractor's performance to ensure public funds are used efficiently.

Public Impact

The Department of the Navy benefits from dedicated administrative support, allowing its personnel to focus on core mission functions. Services delivered include general management and administrative support, crucial for the efficient operation of naval units. The contract's impact is primarily felt within the administrative and management sectors of the defense industry. Workforce implications are likely concentrated within Tatitlek Federal Services LLC, with potential for job creation or allocation of existing staff to this contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to suboptimal pricing.
Cost Plus Fixed Fee structure requires robust cost tracking and oversight.
Sole-source awards can limit opportunities for new or smaller businesses to enter the market.

Positive Signals

Award to an established entity suggests a potentially reliable service provider.
Long-term contract indicates a stable need for the services provided.
Focus on administrative services supports essential government functions.

Sector Analysis

The administrative management and general management consulting services sector is a significant part of the federal contracting landscape, supporting various government agencies in optimizing operations. This contract falls within a broad category of professional services that agencies rely on for expertise not always available in-house. Benchmarking against similar contracts in this sector would involve comparing pricing models, service scopes, and contractor performance for administrative support functions across different agencies.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it appear to have specific subcontracting requirements for small businesses indicated in the provided data. This means that opportunities for small businesses to participate in this specific contract are limited unless they are part of Tatitlek Federal Services LLC's supply chain. The absence of set-aside provisions means the primary benefit of this contract accrues to the large business awardee.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Navy's contracting officers and program managers. The Cost Plus Fixed Fee structure necessitates detailed financial reporting and auditing to ensure costs are reasonable and allocable. Transparency will depend on the agency's policies regarding the release of contract performance data and financial details. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Department of Defense Administrative Support Contracts
General Management Consulting Services
Navy Operational Support Contracts
Cost-Plus-Fixed-Fee Contracts

Risk Flags

Sole-source award lacks competitive pricing.
Cost Plus Fixed Fee structure requires diligent cost oversight.
Potential for cost creep without strong performance management.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $3.6 million to TATITLEK FEDERAL SERVICES LLC. PROVIDES ADMIN SERVICES TO CODE 50

Who is the contractor on this award?

The obligated recipient is TATITLEK FEDERAL SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2023-09-01. End: 2028-08-31.

What is the track record of Tatitlek Federal Services LLC in providing administrative management services to the federal government?

Assessing the track record of Tatitlek Federal Services LLC requires a review of their past performance on similar federal contracts. Information regarding their history with administrative management and general management consulting services, including client satisfaction, on-time delivery, and adherence to budget, would be crucial. A deeper dive into contract databases like SAM.gov or FPDS could reveal previous awards, performance evaluations, and any past performance issues. Without this specific data, it's difficult to definitively assess their capability and reliability for this $3.6 million contract.

How does the annual cost of this contract compare to similar administrative support contracts awarded by the Department of the Navy or other agencies?

The annual cost of this contract is approximately $720,000 ($3.6M / 5 years). To benchmark this value, one would need to compare it against contracts for similar administrative management and general management consulting services, considering factors like the number of personnel supported, the complexity of tasks, and the geographic location. For instance, if other Navy contracts for similar support in comparable locations range from $500,000 to $900,000 annually, this contract might be considered within a reasonable range. However, a lack of detailed service scope in the provided data makes precise comparison difficult.

What are the primary risks associated with a sole-source Cost Plus Fixed Fee contract for administrative services?

The primary risks associated with a sole-source Cost Plus Fixed Fee (CPFF) contract for administrative services are twofold. Firstly, the sole-source nature eliminates competitive pressure, potentially leading to higher prices than if the contract were competed. The government does not benefit from the price discovery mechanism inherent in competitive bidding. Secondly, the CPFF structure, while offering flexibility, can incentivize the contractor to incur higher costs, as their fee is fixed regardless of the actual cost incurred. This necessitates robust government oversight to scrutinize costs, ensure efficiency, and prevent cost overruns beyond the anticipated scope.

What is the expected impact of this contract on the efficiency and effectiveness of the Department of the Navy's administrative functions?

This contract is expected to enhance the efficiency and effectiveness of the Department of the Navy's administrative functions by providing specialized management and administrative support. By outsourcing these functions to Tatitlek Federal Services LLC, the Navy can potentially free up its own personnel to focus on core military operations and strategic objectives. The success of this impact hinges on the contractor's ability to deliver high-quality services, implement best practices in administrative management, and adapt to the evolving needs of the Navy. Clear performance metrics and regular evaluations will be key to ensuring the contract meets its intended objectives.

How has federal spending on administrative management and general management consulting services evolved over the past five years, and where does this contract fit in?

Federal spending on administrative management and general management consulting services has generally seen a steady increase over the past five years as agencies seek to improve operational efficiency and leverage external expertise. This $3.6 million contract for the Department of the Navy fits within this trend, representing a specific investment in optimizing administrative functions. To understand its place, one would compare its value against the total federal outlays for NAICS code 541611. If total spending in this category has been in the billions annually, this single contract represents a small but significant portion, indicative of the ongoing reliance on such services across the government.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N6449823R4041

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 561 E 36TH AVE, ANCHORAGE, AK, 99503

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Government, Native American Tribal Government, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $33,226,421

Exercised Options: $19,201,697

Current Obligation: $3,622,205

Actual Outlays: $2,898

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline